Table of Contents
Acknowledgments xv
Introduction xvii
Part I Building Your Estate Plan 1
Chapter 1 The Importance of Making an Estate Plan 3
Chapter 2 The Estate Plan 8
Assets 8
Wills and Trusts 9
Advance Directives and Medical Powers of Attorney 9
Gifting 10
Dividing Property 11
Protecting the Inheritance 12
Beneficiaries 12
Your Legacy 13
Chapter 3 Wills 15
General Overview 15
Common Mistakes 18
Capacity 19
Revocation and Revival 20
Partial Invalidity of a Will 21
Simultaneous Death 22
Will Provisions 22
Executor's Duties 23
Creative and Professional Executors 24
Chapter 4 Testamentary Trusts 25
General Overview 25
Trust Agreements 26
Abusive Trust Arrangements 27
Successor Trustees 28
Trustee's Duties 28
Estate Planning Trusts 29
Chapter 5 Living (Inter Vivos) Trusts 31
General Overview 31
Advantages and Disadvantages 32
Spendthrift Trusts and Marital Living Trusts 34
Professional Asset Management 35
Funding a Living Trust 35
Chapter 6 Special Needs Trusts 37
Identifying a Caretaker 37
Guardianship 38
Government Assistance and Income Limitations 38
Additional Considerations for the Trustee 38
Additional Instructions to Include 39
Irrevocable Inter Vivos Trusts 41
Insurance 41
Chapter 7 Guardians, Powers of Attorney, Advance Directives, and Other Essential Documents 42
Guardians 42
Power of Attorney 44
Advance Directives 47
Other Essential Documents 48
Chapter 8 Life insurance 49
Alternatives to Life Insurance 49
Common Types of Life Insurance Policies 50
Life Insurance Annuities 56
Insurance Trusts 56
Buy-Sell Agreements 57
Tax Implications 58
Chapter 9 Digital Assets 60
The Importance of Planning for Your Digital Assets 60
Designating a Digital Agent 61
Identifying Your Digital Assets 61
Digital Asset Inventory 61
Roadblocks to Access 64
Wills 65
Durable Powers of Attorney 66
Trusts 66
Make Your Intentions Known 66
Online Afterlife Management Companies 67
Chapter 10 Tax Considerations 68
Principal Points to Consider 68
Primary Residences 69
Individual Retirement Accounts 69
Gifts and Gift Taxes 70
Decedent Tax Forms 71
Income and Deductions in Respect of a Decedent 72
Generation-Skipping Tax 72
Chapter 11 Your Legacy 74
Helpful Tips 74
Parting thoughts 75
Last Posts, Tweets, Etc. 76
Stories and Videos 76
In Memoriam 76
Worksheet 1 79
Part II Avoiding Probate 117
Chapter 12 What Is Probate? 119
Chapter 13 Gifts 121
Gift Taxes 121
Federal Lifetime Exemption or Unified Credit 122
Inter Vivos Gifts 123
Health and Education Exemption 124
Gifts to Minors 124
Gifts to a Spouse 125
Charitable Gifts 128
Gifts Made on Your Behalf 128
Gifts by a Nonresident Noncitizen 128
Refusing a Gift 128
Bargain Sales 129
Considerations in Making Gifts 129
Net Gift Technique 130
Deathbed Gifts 130
State Gift Taxes 131
Chapter 14 Co-Ownership 132
Joint Tenancy 132
Tenancy in Common 133
Joint Tenancy and Community Property Laws 133
Transfer on Death Deeds 134
New Value of Property When a Joint Tenant Dies 135
Simultaneous Death 136
Joint Tenancy and Taxable Gifts 136
Chapter 15 Bank Accounts and Insurance Policies 138
Bank Accounts 138
Pay-on-Death Accounts 140
Bank and Credit Union Accounts 140
Safety Deposit Boxes 140
Life Insurance 141
Chapter 16 Business Structures 142
Choosing a Business Structure 142
Buy-Sell Agreements 143
Transferring Ownership During Life 146
Worksheet 2 147
Part III The Probate Process 155
Chapter 17 Testate 157
What Is Dying Testate? 157
Opening the Estate 157
Appointing the Personal Representative 159
Notifying Creditors 159
Preserving the Assets of the Estate 160
Executing the Will 163
Final Income Taxes 163
Annual Accountings 163
Interim Payments 164
Liquidating or Distributing Assets 165
Closing the Estate 165
Chapter 18 Intestate 166
What Is Intestate? 166
Opening a File with the Court 166
Appointing an Administrator 167
Complying with State Law 167
Notifying Creditors 167
Preserving Assets 168
Paying Claims, Attorneys, and Administrator 168
Small Estates 168
Benefits of Having a Will 169
Part IV Guidance for Survivors 171
Chapter 19 In the Event of Death 173
What to Do in Case of an Accidental or Unexpected Death 173
My Personal Information 175
Upon My Death 175
At the Time of My Death 176
My Current Medications 176
Chapter 26 General Information about Handling the Death of a Loved One 177
Family and Friends to Notify 177
Notify My Primary Care Doctor 178
Organ Donations 178
Funeral Arrangements 180
My Obituary 185
My Photos 186
My Professional Advisors 186
Other People to Notify 187
Chapter 21 Miscellaneous Instructions 188
Family Information 188
Pets and Animals 190
Chapter 22 Important Documents and Where to Find Them 191
Where to Find Vital Documents 191
Estate Planning Documents 193
Beneficiary Designations 194
Location of Safety Deposit Box 195
Personal and Confidential Information Instructions 195
Insurance Policies 196
Deeds and Documents 197
Investments 197
Tax Records 197
Loans and Credit Cards 198
Chapter 23 Digital Assets, Accounts, and Passwords 199
Chapter 24 Immediate Care of Property and Obligations 204
Legal Jargon Alert 204
Report the Death 205
Secure and Inventory Property 206
Contact Family and Friends 206
Locate Estate Planning Documents 207
Identify the Fiduciaries 208
Fiduciary Responsibilities 210
Funeral Arrangements and Memorial Services 212
Chapter 25 Identifying and Caring for Estate Property 215
Real Property 215
Pets 216
Bank Accounts 217
Stocks and Bonds 217
Automobiles and Other Vehicles 218
Income and Payments to the Estate 219
Obligations of the Estate 219
Miscellaneous 220
Chapter 26 The Decedent's Businesses 222
Employers 222
What Should Be Done with the Business 222
Controlling the Assets 223
Time Is of the Essence 223
Chapter 27 Insolvent Estates 225
Chapter 28 Finding a Lawyer and an Accountant 228
Finding a Lawyer 229
Evaluating a Lawyer 229
Using a Lawyer 230
Finding an Accountant 231
Appendix A Common Estate Acronyms 232
Appendix B Information Sources 235
Appendix C State Estate and Inheritance Tax Schedules 236
Appendix D State Probate and Intestate Laws 239
Appendix E State Digital Estate Planning Laws 245
Glossary 252
About the Authors 286
Index 288
